Stephen Tu, Melina Skouridou and Farooq Khan explain how four forces reshaping finance will likely reduce banks’ revenue from core activities and undermine their role as financial intermediaries. Plus, Alka Anbarasu explains why India’s banks will weather the stress from a COVID-19 resurgence, and Jasper Cooper gives an update on insured hurricane losses in the US.
China’s spending to increase semiconductor production significantly will be modest compared with GDP, so credit risk is low for the sovereign. Credit risk is also low for large producers but higher for smaller producers with less government support and foreign producers.
Analyst Fadi Massih discusses the credit strengths and weaknesses of the crypto asset exchange.